Debentures

Every enterprise or organization interacts with various counterparties in the course of the current work. Very often, the result of such relationships are debt obligations. Their presence indicates the presence of borrowed capital in the company's cash turnover .

Indeed, in practice we can do without attracting additional funds and at the same time it is impossible to develop successfully. Market economy contributes to the development of competition, which forces managers to look for ways to modernize the production process and sell the goods. So, the debt obligation is an agreement between the two parties on the provision of a certain amount of money or material on terms of pay, repayment, urgency.

First of all, it is necessary to distinguish between bank and commercial lending. Commercial loans are debt obligations between two firms, usually for a deferred payment. For example, when the shipment of the goods was made, and the payment for it will be made after a certain period of time in parts or one-time payment in full. Such relations are formalized in the form of a commodity loan or a loan agreement.

Accordingly, bank lending is an arrangement between a credit institution and its client, legalized by an agreement for the purposes specified. The loan agreement can be considered valid from the moment of a real transfer of cash or tangible property to the borrower's use, and it can be concluded in both national and foreign currency. Moreover, the current regulations provide that an agreement between a credit institution and a natural person is indeed even oral, it may be of a gratuitous nature. A contract for free transfer means that the borrower at the end of the specified period is obliged to return only the loaned value without an interest. The loan agreement is considered valid if there is a supporting document.

Debt obligations, certified by a loan agreement, give the borrower the full right not to take the funds and terminate the agreement until it becomes valid. And the creditor gets the opportunity not to provide the specified amount of funds in the event that there are reasonable doubts in the return of the debt in full, or in the legality and truthfulness of the documents that were submitted together with the application for lending.

In addition, debt obligations can be expressed in the form of a commercial or commodity loan. The first is a separate item in the basic agreement of the two counterparties. As a rule, it allows an economic entity to receive goods with a deferred payment or in installments. And to design a commodity loan, it is necessary to draw up a separate contract, which reflects the obligation of one entity to provide a specific product to another person. It allows enterprises to make up for temporary shortages in material resources without interrupting the production process.

A special role in the economic life of the country is played by government debt obligations. Often state loans are used to cover a budget deficit or in settlements with foreign countries. In some cases, the government applies this instrument as a guarantee or guarantee for a third party. Thus, the power convinces the creditor of the borrower's solvency, and also shows its willingness to repay all or part of the debt in the presence of adverse situations. Of course, such transactions are carried out only at the level of large-scale programs of strategic importance.